Dave Richardson and Greg Jericho have taken a look at what exactly no action on housing affordability would look like: spoiler – it is not good.

If housing affordability keeps going the way it has over the past 20 years, an average dwelling in Sydney will be worth 24 years of an average salary.

The latest figures from the Bureau of Statistics today reveal that the size of the average home loan over just the past 5 years has increased by more than $198,000 in Western Australia, South Australia, Queensland and New South Wales.

Everyone knows Australian house prices are high and putting home ownership out of reach for many new home buyers. These most recent mortgage figures only serve to remind people just how expensive it is to buy a home.

While often the media commentary is about Sydney house prices, the home loan figures show all states are affected. For example, the average new home loan in South Australia in just five years has gone from $372,000 to $580,000 – a 56% increase at a time when the average full-time earnings in South Australia have increased only around 18%.

But while the current situation is dire, if the pace of the past 20 years continues, owning a home will not so much be the Australian dream, but a ludicrous fantasy unavailable to everyone except to the very richest.

You can read more, here.